SG Market (22 Apr 13)

SG Market: S’pore shares could kick off to some tepid trading amid a dearth of positive catalysts for investors. For the coming session the weak China and US economic data and mixed earnings reports from US is likely to weigh on sentiment. Traders note that markets had such a good run in 1Q ahead of economic fundamentals and risk assets such as equities seem ripe for profit taking. The STI is expected to consolidate around current levels pegged between mid term support at 3250 and resistance at 3320. Stocks to watch out for: *CMT: Good set of 1Q13 results with distrubutable income +11.3% y/y to $85.3m, DPU +7% to 2.46¢, which translates to annualized yield of 4.4%. Gross revenue +14.8%, net property income +15.5%, boosted by higher rentals from its upgraded malls at JCube, Bugis+ and the Atrium@Orchard. *CCT: 1Q13 results in-line with expectations with distributable income +3.3% y/y to $55.7m, DPU +3.2% to 1.96¢, which translates to annualized yield of 4.7%. Gross revenue +9.7%, net property income +7.1% due to higher contributions from Twenty Anson, acquired in Mar 12 and higher rents from HSBC Building. *CRCT: 1Q13 distributable income +4.2% y/y to $17.3m, DPU -4.1% to 2.31¢, which translates to annualized yield of 5.3%. Gross revenue +3.7%, net property income +4.6% stemming from new tenancy mix at CapitaMall Saihan and CapitaMall Wuhu in China and strong SGD against Rmb. *F&N: Resumes trading today; Thai owners given till 19 Jul to restore at least 10% free float. *Sembcorp Industries: Formed 40/40/20 JV with British waste management company SITA UK and Japan’s Itochu to build, operate and transfer a £250m 49MW waste-to-energy plant in Teeside, UK under 30-year concession. *Keppel Corp: Seeking a seabed-minerals exploration license in partnership with a unit of Lockheed Martin and S’pore private-investment firm Lion City Capital Partners.